• 4 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 7 minutes Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 13 minutes NordStream2
  • 1 day Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 2 hours California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 1 day "Here is The Hidden $150 Trillion Agenda Behind The "Crusade" Against Climate Change" - Zero Hedge re: Bank of America REPORT
  • 1 day GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 days "A Very Predictable Global Energy Crisis" by Irina Slav --- MUST READ
  • 7 hours U.S. : Employers Can Buy Retirement Security for $2.64 an Hour
  • 3 days An Indian Opinion on What is Going on in China
  • 12 hours Nord Stream - US/German consultations
  • 3 days Can Technology Keep Coal Plants Alive and Well?
  • 4 days Succession Planning in Human Resources for Vaccinated Individuals in the Oil & Gas Industry
  • 6 days Perfect Energy Storm in Europe: turning our back on fossil fuels is easier said than done!
  • 5 hours Australia sues Neoen for lack of power from its Tesla battery
  • 3 days Storage of gas cylinders
  • 4 days Two Good and Plausible Ideas about Saving Water and Redirecting it to Where it is Needed.
Why U.S. LNG Is Going To Asia Instead Of Europe

Why U.S. LNG Is Going To Asia Instead Of Europe

U.S. shale drillers are selling…

Terrorists, Cocaine, And Power: A War Within Venezuela

Terrorists, Cocaine, And Power: A War Within Venezuela

For decades, Hezbollah has held…

Toshiba To Exit Nuclear Plant Construction Business

Toshiba is preparing to put an end to its nuclear power plant construction business as part of damage control measures following a huge write-off on its U.S. nuclear operations.

This is what unnamed sources close to the company told media, adding that from now on, the conglomerate’s nuclear operations will be restricted to maintenance and decommissioning. Still, Toshiba will complete the ongoing work on four new NPPs in the U.S., which should be put into operation in 2020.

The write-off that may bring down Toshiba’s nuclear business has been estimated at US$6.08 billion and is related to its 2015 acquisition of U.S. CB&I Stone & Webster. The size of the acquisition deal, closed by Toshiba’s U.S. subsidiary Westinghouse, was just US$229 million.

However, the low value of the company came with risks, as the New York Times recalled in a report last month, as the buyer and the seller, Chicago Bridge & Iron Company, argued over the true value of CB&I Stone & Webster. Cost overruns and delays threatened the successful completion of the target company’s construction projects, and the two parties to the deal could not reach an agreement as to who should shoulder the associated expenses.

Related: Is Deepwater Drilling About To Make A Comeback?

The blow from the bad deal with Chicago Bridge & Iron seems to be so serious that Toshiba is mulling over the sale of Westinghouse, again according to unnamed sources. A sale would limit its exposure to future losses associated with nuclear power projects in the U.S., as would a partial stake sale, the sources explained.

Yet Westinghouse itself is not in the most rosy of conditions and it would be a tough job to find a willing buyer, the Japan Times notes. Toshiba took a US$2.3-billion write-down on the Westinghouse acquisition last year, after buying it for US$5.4 billion in 2006.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News